After completing this unit on demand, students should be able to:
1) define demand.
2) explain the difference between demand and quantity demanded.
3) state the law of demand.
4) explain what demand schedules and demand curves show.
5) list and explain the 3 concepts that explain the law of demand (the income effect, substitution effect, and diminishing marginal utility).
6) explain what is meant by a change or shift in demand.
7) illustrate an increase or decrease in demand on a graph.
8) list and explain the factors that can cause a shift in demand, called the determinants of demand.
9) define and explain elasticity of demand.
10) list the factors that determine whether or not a product has elastic or inelastic demand.
11) give examples of products that have elastic and inelastic demand and explain why.
12) show how the demand curve for a product with inelastic demand will differ from one with elastic demand.
Select and apply technology tools for research, information analysis, problem-solving, and decision-making in content learning.
Standard 3: Uses information effectively and creatively, as described by the following indicators:
organizes information for practical application;
integrates new information into one's own knowledge;
applies information in critical thinking and problem solving;
produces and communication information and ideas in appropriate formats.
An understanding of demand is a necessary foundation to understanding how the market system works, how prices are determined, and how consumers' needs and wants are met.
Students will demonstrate their understanding of the concepts by writing, speaking, and graph work.
Lesson 1 The Nature of Demand will include:
a) definition of demand
b) difference between quantity demanded and demand
c) the Law of Demand
d) the 3 factors that explain the Law of Demand
e) reading schedules and drawing a demand curve
Lesson 2 Changes in Demand will include:
a) explanation of a shift or change in demand
b) graphing a shift in demand
c) factors which can cause a shift in demand
Lesson 3 Elasticity of Demand will include:
a) explanation of elasticity of demand
b) factors that determine elasticity
c) examples of products that have elastic and inelastic demand
d) difference between demand curves for products with elastic and inelastic demand.
Work Force Competencies
Standard Title: INFORMATION MANAGERS (3.1)
Florida students locate, comprehend, interpret, evaluate, maintain, and apply information, concepts, and ideas found in literature, the arts, symbols, recordings, video and other graphic displays, and computer files in order to perform tasks and/or for enjoyment.
Standard Title: EFFECTIVE COMMUNICATORS (3.2)
Florida students communicate in English and other languages using information, concepts, prose, symbols, reports, audio and video recordings, speeches, graphic displays, and computer-based programs.
Standard Title: NUMERIC PROBLEM SOLVERS (3.3)
Florida students use numeric operations and concepts to describe, analyze, disaggregate, communicate, and synthesize numeric data, and to identify and solve problems.